Heat wave threatens 500,000 wheels of Parmesan worth $382 million held as collateral for Italian farm loans

A heat wave across Europe is putting Italy’s “cheese banks” under pressure, threatening about 500,000 wheels of Parmigiano Reggiano worth an estimated 325 million euros ($382 million) held as collateral for farm loans. The bank facilities must keep tight temperature and humidity controls while electricity demand during hot weather rises roughly 30% per day. Climate impacts are also hitting dairy production as extreme heat reduces milk quality and quantity, adding stress to the supply chain and lender risk.